According to the latest report by Redseer Strategy Consultants, Indian short-form video (SFV) market monetisation is at the cusp of a breakout and could potentially be an opportunity of $8-12 billion by 2030. The report also highlighted that virtual gifting on SFV platforms in India is expected to reach $1.7 billion by 2030.
As per the report, SFV apps have seen constant growth in adoption and engagement. Leading players have come close to global players in terms of scale while having similar engagement levels. The report highlighted that with a large and growing population of smartphone users, SFV apps have already gained significant popularity in India. The content library for Indian SFVs is in line with India’s needs – linguistically and culturally diverse.
The report further states that Indian apps compare well with global short-form apps and have a lead on content depth in three of the top five content genres, with significant difference in offerings around music/dance and dialogue/acting content. The preferred language for content consumption in metro and tier 1 cities is Hindi, followed by English and other regional languages. While regional languages find an audience across India, it’s of key preference in tier 2+ cities only.
For brands, influencer marketing is becoming an increasingly popular marketing strategy in India. The report projected the marketing spend on influencers to be worth $2.8-3.5 billion in 2028, from the current level of $0.35-0.4 billion. The findings emphasised that there is a need for a tech-enabled, transparent, and scalable solution for influencers and brands to engage.
The report also observed that user-generated content (UGC) platforms are developing creator marketplaces that can become a centralised network for creators to connect with brands. This can benefit both creators and brands, as it provides a platform for creators to showcase their work and for brands to find suitable creators to work with.
As per the report, globally, SFV platforms and eCommerce platforms are increasingly focusing on video commerce to enhance customer engagement and boost sales. In India, video commerce has just started, with SFV platforms expected to capture around 40 per cent of the $8-11 billion video commerce market in 2030 – the top three categories being sold to be fashion and beauty and personal care and packaged food and beverages.